PDD Holdings Inc. Q4 FY2025 earnings call

Zhao Jiazhen mentioned launching the first 1000 billion-level exchange strategy, upgrading governance structure, implementing contact president system, focusing on heavy-duty supply chain. Chen Lei said 2025 was 10th anniversary, launched $100 billion support program, dedicated teams visited agricultural regions and industrial belts, improved consumption and business environment, global business had steady development but faced complex external environment. Li Jiong walked through financial results.

This quarter, the group's revenue reached 123.9 billion RMB, growing 12% year-on-year, while full-year revenue reached 431.8 billion RMB, up 10% year-on-year. Both this quarter and the annual net income decreased year-on-year. Revenues from online marketing services and others were 60 billion RMB this quarter, up 5% compared to the same period 2024. Transaction services revenues this quarter were 63.9 billion RMB, up 19% versus the same period of 2024. Costs of revenues increased. Non-GAAP operating expenses and related percentages are also mentioned.

Continue to anchor strategy in investing deeply in supply chain capabilities, direct more efforts, capital, and resources to its transformation. Aim to empower merchants and manufacturers to have direct global market capabilities. 2026 is new starting point, will invest more manpower and resources to deepen supply chain investments.

Global geopolitical landscape has grown more complex. Trade and regulatory policies across different countries and regions continue to evolve, introducing greater uncertainty to global business and impacting development model.

Q: Alicia Yap asked about organization adjustment and China e-commerce market growth.

A: Zhao Jiazhen said need for systemic organization, culture and governance再造, and talked about supply chain initiatives like free delivery to villages and new quality supply.

Q: Kenneth Long asked about global business focus and profitability.

A: Chen Lei said global business focus on supply chain capabilities, and Zhao Jiazhen said company in strategic investment phase, long-term investments affect short-term margins.

Q: Another analyst asked about investment projects and consumer market.

A: Zhao Jiazhen said long-term structural investments, and talked about consumer market and supply chain tailored solutions for categories